legal focus 43 An avoidable war


The Royal National Theatre is embroiled in an employment dispute in the High Court. The case sends a stark warning to organisations to think beyond their immediate business needs when entering employment and commercial contracts, and to also put in place plans for any exit strategy, writes Caroline Benham, associate solicitor, dispute resolution team, Gardner Leader


The dispute


Five musicians were employed by the theatre under contracts which stated that, after an initial period, their employment could only be terminated on two weeks’ written notice if the theatre’s production of War Horse was to close. After a number of years, the theatre decided to stage the play without live music and terminated the musicians’ contracts despite the production continuing.


The lawfulness of that termination remains for the High Court to decide. However, the court has recently refused the musicians’ application for interim injunctions requiring the theatre to


immediately re-engage them. The court said that an order in those terms would interfere with the Theatre’s right of artistic freedom. In reaching its decision, the court recognised that the musicians had good claims for breach of contract but concluded that their losses could be adequately compensated for by monetary damages at the ultimate trial of their claims without the need for injunctions.


The theatre may have won the initial battle against the grant of injunctions, but it is unlikely to win the entire war and may face an order to pay damages and legal costs once the musicians’ breach of contract claims are finally decided.


Henmans Freeth’s charity group ranked in UK top five


Henmans Freeth LLP’s charities practice has been acknowledged as one of the leading five firms in the UK for charity advice by CaritasData’s Top 3000 Charities 2014/15 directory.


CaritasData provides an in- depth directory of the UK’s top 3000 charities, which includes legal advisers, the latest financial accounts of the top charities, league tables, charity sector statistics, grantmaking charities and corporate donors.


Henmans Freeth is top ranked for its charity advice in both the Chambers and Partners and The Legal 500 directories. The practice acts for more than 190 charity clients, including national charities Cancer Research UK, RSPCA, British Heart Foundation and Macmillan, as well as a number of smaller local charities.


Nigel Roots (pictured), head of the charities practice, commented: “What sets us apart from other law firms is that we offer a specialist service to charities,


Companies may take some reassurance from this case, which reminds us of the courts’ general reluctance to interfere with contractual relationships by granting injunctions. If the wronged party can be adequately compensated through damages at the end of a legal dispute and there are no other exceptional reasons why an emergency injunction should be granted, an injunction application will fail.


Lessons to be learnt Sometimes breaches of contract


Clifton Ingram solicitors acquires Ratcliffe Duce & Gammer


As part of its ongoing expansion, Clifton Ingram LLP solicitors has finalised the terms of its acquisition of Ratcliffe Duce & Gammer LLP solicitors with effect from June 1.


and pride ourselves on working with charities to help them achieve their strategic commercial objectives.”


Henmans Freeth’s charities practice was previously shortlisted for the STEP Charity Team of the Year Award.


Details: www.henmansfreeth.co.uk


THE BUSINESS MAGAZINE – THAMES VALLEY – JUNE 2014


The agreement sees Ratcliffe Duce & Gammer’s family, private client, employment, litigation, medical negligence, commercial and residential property teams join Clifton Ingram, bringing the overall headcount to approximately 100. The combined business will operate under the Clifton Ingram solicitors name and operate for the firm’s existing Reading and Wokingham offices.


Commenting on the acquisition, Clifton Ingram’s managing partner Tim Read said: “This acquisition enables us to increase the breadth and depth of several of our core practice areas, by joining with a firm which has a similar culture and service ethic to our own. The ongoing development of our Reading and Wokingham offices


is a key part of our strategic plan and the acquisition of Ratcliffe Duce & Gammer will further strengthen our growth, which this year has led to an increase in firm-wide turnover of over 8%, far outperforming the sector average.


“Following this acquisition, the next step in our plan is to build on the success of our private client practice by making some significant lateral hires into our company and commercial department as we continue to look for opportunities to increase the strength of our client offering.”


Robert Watts, senior partner of Ratcliffe Duce & Gammer, said: “We are very pleased to be joining Clifton Ingram, as this gives us an excellent opportunity to offer our clients an expanded capability across all our complementary teams. The move will also bring substantial operational benefits that will again allow us to enhance our service.”


Details: www.cliftoningram.co.uk www.businessmag.co.uk


are inevitable due to external drivers and changed commercial strategy. However, businesses should ensure that employment and general commercial contracts allow for change. For example, that the notice provisions are not overly prescriptive as to when they can terminate. When a breach is unavoidable, wherever possible plans should be put in place to manage the disrupted relationship (and therefore the risk of a dispute arising) before the breach is initiated.


Had the theatre put such plans in place before it gave notice to the musicians, it may not have even been in a fight; instead, it has incurred an injunction battle and finds itself in a continuing and costly (although, arguably, avoidable) legal war.


Details: Caroline Benham 01635-508080 www.gardner-leader.co.uk


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